Read previewClaudia Sahm, the former Federal Reserve economist who developed the Sahm Rule recession indicator, believes the US economy will likely avoid a downturn this year.
We solved the labor shortage by getting more labor," Sahm said.
"The foreign-born labor force has made a disproportionate contribution to reducing the jobs-workers gap.
This has been driven by two factors: above-trend immigration growth and greater foreign-born labor force participation," said Jan Hatzius, the chief US economist at Goldman Sachs, in an August 2023 client note.
"Growth in the foreign-born labor force has accelerated by 50k to 160k per month this year, lifted by a surging foreign-born labor force participation rate," Hatzius added.
Persons:
—, Claudia Sahm, Sahm, doesn't, Jan Hatzius, Goldman Sachs, Hatzius, Jerome Powell, Powell
Organizations:
Service, Federal Reserve, Business, National Bureau of Economic, US, Labor, Board, Bureau of Labor Statistics, Fed
Locations:
flatlining